The Chicago Mercantile Exchange (CME) Group has filed a lawsuit in federal court challenging the U.S. Commodity Futures Trading Commission (CFTC) over its approvals of cryptocurrency-linked perpetual futures. The complaint, submitted to the U.S. District Court for the District of Columbia, targets the CFTC, its chair Michael Selig, and asks the court to vacate the agency’s actions.

The case highlights an expanding regulatory dispute over how U.S. derivatives rules apply to crypto products that do not fit neatly into traditional futures structures. For crypto exchanges, broker-dealers, market operators, and institutional investors, the outcome could affect product design, compliance expectations, and supervisory oversight of crypto derivatives—particularly where regulatory interpretations hinge on whether a contract is treated as a “futures” product or as a “swap” under the Commodity Exchange Act (CEA).

Key takeaways

• CME filed a D.C. federal lawsuit against the CFTC and chair Michael Selig relating to the agency’s approval of crypto perpetual futures tied to Bitcoin spot prices.
• The complaint centers on a CFTC notice dated May 29 involving Kalshi prediction market products and a no-action position for similar products involving Coinbase.
• CME alleges the CFTC improperly applied the CEA by effectively treating “futures” as “swaps” with expiration dates, and argues Selig acted without a full five-commissioner panel.
• The CFTC, through a spokesperson, rejected the claims as “frivolous” and characterized CME’s litigation approach as “lawfare.”

CME’s lawsuit challenges CFTC approvals for crypto perpetual futures

In its Thursday filing, CME sought judicial review of CFTC actions approving certain perpetual futures contracts linked to Bitcoin’s spot price. The dispute traces back to a May 29 CFTC notice that (1) approved perpetual futures contracts tied to Bitcoin for Kalshi, a platform operating prediction markets, and (2) issued a “no-action” position for similar perpetual products referenced in connection with Coinbase.

CME’s complaint argues that the CFTC’s approach conflicts with directives from Congress, particularly by treating “futures” as “swaps” for purposes of regulatory classification. Under CME’s theory, the classification matters because it determines which statutory and regulatory requirements apply to the relevant derivatives framework.

Beyond the substantive challenge, CME also raised procedural concerns. The exchange contends that Selig acted unilaterally rather than through a full panel of five CFTC commissioners, implying that the agency’s internal governance or decision-making process was not properly followed for the actions at issue.

“With one stroke of his pen, [Selig] overrode Congress’s definition of the term ‘swap’ and circumvented the regulatory regime Congress required for that form of derivative.”

CME further asserted that the CFTC’s handling of these approvals could harm competition and destabilize derivatives markets, arguing the agency failed to apply the CEA consistently and evenly.

Congress, contract classification, and why the dispute matters

At the core of CME’s legal argument is the classification of perpetual futures contracts—contracts that, in typical market practice, can be designed to trade without a fixed expiration date, while still resembling derivative instruments whose regulatory treatment depends on statutory definitions.

From a compliance standpoint, how a product is categorized can determine whether market participants must register, seek approvals, adopt particular operational controls, and comply with specific surveillance or reporting expectations under U.S. derivatives oversight. The lawsuit therefore sits at the intersection of contract engineering and statutory interpretation: market operators and intermediaries may need clarity on whether certain crypto-linked “perpetual” structures fit within futures frameworks or instead trigger swap-like regulatory pathways.

The broader institutional issue is that perpetual crypto derivatives have increasingly blurred lines between legacy derivative categories. That raises practical uncertainty for exchanges and clearing entities, and it can create compliance friction for financial institutions that must meet regulatory expectations for eligible contract types and risk controls. In that context, CME’s challenge is not merely a technical disagreement: it is aimed at shaping the legal boundaries that govern future approvals and market access.

Selig’s position and the CFTC’s response

The dispute escalated publicly shortly before CME’s filing. One day earlier, CME CEO Terrence Duffy said the exchange operator would take legal action against the CFTC. In a subsequent interview, Selig maintained that perpetual futures contracts “trade very similarly” to other derivatives and argued that the CEA does not define the term “futures contract.”

The CFTC rejected CME’s complaint. A CFTC spokesperson told Cointelegraph that CME had engaged in “lawfare” against the agency and the administration’s broader crypto policy approach, characterizing the lawsuit as “frivolous.” The exchange’s response, in turn, underscores a high-stakes policy conflict: if courts accept CME’s reading, it could compel the agency to revisit approvals tied to its prior interpretive stance and potentially adjust how it evaluates similar applications or regulatory notices.

CFTC leadership structure and timing: a procedural and policy flashpoint

CFTC chair Michael Selig was confirmed by the U.S. Senate in December 2025 and, as of the time of CME’s filing, remains the chair and sole commissioner in a leadership panel intended to include five commissioners. The lawsuit comes amid uncertainty about whether the CFTC’s full bipartisan composition will be restored in time for complex contested decisions—an issue that CME highlights through its allegation that Selig acted without a complete panel.

Political context also matters for the regulatory process. As of Thursday, President Donald Trump had not announced nominations to fill the CFTC seats, despite calls from members of Congress to do so. That governance vacuum can become consequential when markets depend on consistent, multi-member commission decision-making for contested interpretations of the CEA.

The dispute also arrives as crypto perpetual derivatives are proliferating across U.S. venues and regulated infrastructure. For example, Kraken announced it would offer perpetual futures to U.S. users through a CFTC-regulated platform, Bitnomial. While that development is separate from CME’s lawsuit, it reflects the practical stakes of regulatory clarity: product expansion continues, but the legal foundations supporting classification and approval pathways are actively contested.

What to watch next

Courts will determine whether CME’s claims succeed on statutory interpretation and whether the challenged approvals can stand procedurally under the CFTC’s decision-making requirements. For market participants, the most immediate watchpoints are how the court frames the futures-versus-swaps classification issue and whether the CFTC revises its approach to approvals of crypto perpetual derivatives pending the litigation’s outcome.

Kraken has expanded access to more than 2,500 Solana-based tokens through on-chain trading while SOL has fallen nearly 8% amid a wider crypto market selloff.

According to Kraken, customers in the United States and more than 100 countries can now trade thousands of Solana ecosystem tokens directly through the exchange’s platform, including assets that have not yet been listed on centralized exchanges.

Access the Solanaverse on Kraken.

2,500+ tokens not yet on major exchanges.

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Find the token you want, tap, and trade.

No extra wallets, no seed phrases, no complicated set up.

On-chain trading is now live in the Kraken app ⤵️https://t.co/nKxDsDOROY pic.twitter.com/NzBUVsCJVd

— Kraken (@krakenfx) June 18, 2026

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The rollout allows users to buy and sell eligible Solana tokens using USD or USDC without relying on separate self-custody wallets or external decentralized finance tools.

Kraken said the feature removes several steps that have traditionally required users to manage seed phrases, bridge assets between platforms, or interact with multiple applications.

Speaking on the launch, Kraken Chief Data Officer Kamo Asatryan said the company wants to simplify access to blockchain-based assets by reducing the complexity associated with activities such as paying gas fees and moving funds across networks.

Kraken expands beyond traditional exchange listings

Rather than focusing only on tokens that pass through the centralized exchange listing process, Kraken is opening access to a much larger segment of the Solana ecosystem. According to the company, many of the newly available assets are not listed on conventional trading platforms.

“Our customers in the US and more than 100 countries can now trade 2,500+ Solana-based tokens directly from the Kraken app they already use, including many not yet listed on any centralized exchange.” 

The launch adds another product line to Kraken’s recent expansion efforts. As crypto.news reported on June 15, the exchange introduced perpetual futures for eligible U.S. customers through a Commodity Futures Trading Commission-regulated venue.

Following the rollout, eligible users can trade perpetual futures on Kraken Pro alongside spot, margin, and traditional futures products within a single account. The offering was enabled by Kraken parent company Payward’s acquisition of Bitnomial, a CFTC-licensed derivatives platform acquired earlier this year.

Kraken noted that support for additional blockchain networks is expected in the future, which would allow users to trade assets from ecosystems beyond Solana through the same interface.

Market weakness keeps pressure on SOL

Despite the exchange’s latest Solana-focused product launch, the token has remained under pressure as risk appetite continues to weaken across digital asset markets.

At the time of writing, Solana (SOL) was trading at $68.45, down nearly 7% over the previous 24 hours. The decline has unfolded alongside a broader market downturn that pushed the total cryptocurrency market capitalization down roughly 4% to $2.24 trillion.

According to a previous crypto.news analysis, a break below the key $70 support level could shift attention back to the June low around $62 and increase the likelihood of a move toward the $60 region.

Elsewhere in the market, Bitcoin traded near $62,620 after falling more than 4%, adding to pressure across major altcoins and speculative digital assets.

Recent activity suggests Kraken continues to increase its presence across multiple parts of the crypto market.

In May, the exchange launched regulated margin trading services, while earlier this month it joined several industry organizations in urging the U.S. Senate to advance the CLARITY Act, legislation designed to establish a clearer regulatory framework for digital assets.

• Legacy Aztec Network contracts were drained of over $4M in three days.
• Attacks exploited flaws in zero-knowledge proof verification logic.
• The core Aztec network and AZTEC token were not affected by the exploits.

Aztec’s legacy infrastructure has come under a coordinated wave of attacks, leading to losses that crossed $4 million within just three days.

The exploits targeted deprecated smart contracts that had already been shut down years earlier but still held on-chain liquidity.

Despite being labelled as inactive and immutable, the contracts remained accessible to attackers who exploited weaknesses in zero-knowledge proof verification logic.

While the attacks did not affect the current Aztec network or its AZTEC token, they exposed long-standing risks tied to retired DeFi systems that continue to exist on Ethereum without active maintenance or upgrade paths.

First breach: Aztec Connect drained of $2.1 million

The first incident occurred on June 14, when attackers exploited the Aztec Connect protocol, a deprecated privacy-focused bridge that had been officially shut down after its retirement phase.

The contract was already considered inactive, yet it still contained residual funds.

The attacker managed to drain approximately $2.1 million in digital assets, including around 909 ETH, 270,000 DAI, and 167 wstETH, alongside other smaller holdings.

The exploit was linked to flaws in the way rollup proof verification was handled, allowing invalid or manipulated proofs to be accepted as legitimate.

What made the situation more critical was the nature of the contract itself.

Aztec Connect was described as immutable, meaning it could not be paused or patched once deployed.

Even though users had previously been encouraged to withdraw funds before shutdown, the remaining balance became an easy target for exploitation years later.

Security teams reviewing the incident pointed to a breakdown in the relationship between zero-knowledge proof validation and on-chain settlement logic.

In simple terms, the system accepted proofs that did not correctly match the underlying transaction state, allowing the attacker to trigger unauthorised withdrawals.

Second attack: Private Rollup Bridge exploited for $2.15 million

Just three days later, a second exploit hit another legacy system known as the Private Rollup Bridge.

This contract was also part of Aztec’s older infrastructure and had been deprecated following the transition away from earlier rollup designs.

In this case, attackers drained roughly 1,158 ETH, valued at close to $2.15 million at the time of the incident.

The method used was different in execution but similar in technical root cause.

Instead of directly manipulating withdrawals through basic proof mismatch, the attacker leveraged a vulnerable “escape hatch” mechanism embedded in the bridge design.

By submitting a specially crafted zero-knowledge proof, the attacker was able to trigger the contract’s exit logic.

The system incorrectly validated the proof and released funds without proper verification of the underlying state transitions.

This allowed the attacker to extract liquidity in a single coordinated sequence.

Like the earlier exploit, this breach did not involve private key compromise or reentrancy vulnerabilities.

Instead, it highlighted deeper issues in how proof validation was structured in legacy rollup systems, particularly when contracts remain permanently active on-chain after being officially sunset.

Response from Aztec and security firms

Following both incidents, Aztec Labs and the Aztec Foundation confirmed that the affected systems were deprecated products with no connection to the current Aztec network or AZTEC token ecosystem.

The Aztec Foundation was made aware of a potential exploit targeting a deprecated product which occurred on June 17, 2026. There are no links between this product and any smart contracts related to the current network or the AZTEC ERC20 token.

The product was deprecated 4 years… https://t.co/kANaIuw8HF

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— Aztec Foundation (@aztecFND) June 18, 2026

They emphasised that neither contract could be upgraded, paused, or controlled, as both were designed to be immutable at deployment.

Security firm CertiK Alert also flagged the Private Rollup Bridge exploit, identifying the attacker’s address and confirming the movement of funds tied to a specific Ethereum transaction.

Their analysis aligned with other reviews, suggesting that the vulnerability stemmed from flaws in zero-knowledge proof verification rather than conventional smart contract bugs.

Aztec representatives also clarified that the Private Rollup Bridge and Aztec Connect incidents were separate events, even though they occurred within a short timeframe and shared similar technical weaknesses.

Bitcoin BTC$62,854.89 and the Dollar Index (DXY) are moving in opposite directions, with the latter on the verge of a major move that may embolden crypto bears.

The largest cryptocurrency is under pressure for a third straight day, trading near $63,900 and down nearly 1% since midnight UTC. The broader market is mostly showing similar losses, with the exception of a few tokens such as HASH, XLM and ENA, which gained 7% or more.

The Dollar Index, which tracks the U.S. currency’s value against major fiat currencies, has gained 0.26% to 100.66, extending Wednesday’s 0.8% rise. What’s notable is that the index is now on the verge of firmly breaking out of a 13-month-long trading range.

This type of setup usually leads to more momentum chasing by traders, resulting in further gains. Strength in the greenback typically weighs on dollar-denominated assets such as bitcoin.

BTC has historically tended to move in the opposite direction to the dollar. Its 90-day correlation coefficient with the DXY was recently minus 0.82.

The biggest winners from the rotation have been memory and semiconductor stocks. Memory-chip maker Sandisk (SNDK) has surged roughly 800% this year and the Global X Artificial Intelligence & Technology ETF, which focuses on memory-related companies (DRAM), is up about 140%. In microprocessors, Micron Technology (MU) has gained about 230% this year, and the VanEck Semiconductor ETF (SMH) 67%.

The investments highlight a growing preference for the companies supplying the infrastructure behind the AI boom rather than the hyperscalers funding it.

In addition, capital has been attracted SpaceX (SPCX), Elon Musk’s space exploration company that is also expanding into AI. Last week, the company raised $75 billion in the largest IPO in history.

While AI has become the market’s dominant investment theme, the cash required to feed the growth is rising even faster. Google parent Alphabet (GOOGL), Amazon, Microsoft and Meta are expected to spend a combined $725 billion on capital expenditures this year, a 77% increase from last year’s record level.

Free cash flow is no longer fully funding these ambitions. Alphabet, Amazon and Meta, collectively borrowed some $93 billion last year, accounting for roughly 6% of total corporate bond issuance.

Another source of support is also fading. Share repurchases have fallen 33% to $132 billion in 2025, reducing a key pillar of demand for these stocks.

Blockchain infrastructure firm Alchemy said AI agents with its AgentCard now have access to the Visa (V) network with complete identity and payment capabilities, enabling them to make online purchases on behalf of consumers.

The integration allows AgentCard, a virtual ID and spending card for AI agents, to access Visa Intelligent Commerce to book a vacation, order groceries or renew a subscription, for example, without the consumer ever touching a checkout screen.

Agent-native payment protocols are in early adoption with firms like Stripe, Visa and Mastercard (MA) driving hard into this new area, known as agentic commerce. AgentCard works with agents built on models from any provider, including OpenAI or Anthropic.

“Every major computing shift has produced a new kind of economic actor,” Nikil Viswanathan, co-founder and CEO of Alchemy, said in a statement. “The internet created online businesses. Mobile created the app economy. AI agents are next, and they need to be able to access the global economy, and AgentCard is how that starts.”

The Chicago Mercantile Exchange (CME) Group said it was taking legal action against the US Commodity Futures Trading Commission (CFTC) over cryptocurrency perpetual futures.

In a Thursday filing in the US District Court for the District of Columbia, CME filed a complaint against the CFTC and its chair Michael Selig over the agency’s regular approvals of perpetual futures tied to crypto. The lawsuit stemmed from a May 29 notice from the CFTC approving perpetual futures contracts tied to the spot price of Bitcoin (BTC) for prediction markets platform Kalshi and issuing a no-action position for similar products on cryptocurrency exchange Coinbase.

According to CME’s filing, the CFTC’s approval of such products went against directives from the US Congress by treating “futures” as “swaps” with expiration dates. The company alleged that the agency was in violation of the Commodity Exchange Act and a court should vacate its actions over perpetual futures, noting that Selig had unilaterally acted without a full panel of five CFTC commissioners.

“With one stroke of his pen, [Selig] overrode Congress’s definition of the term ‘swap’ and circumvented the regulatory regime Congress required for that form of derivative,” said the complaint, adding:

“The CFTC’s failure to evenhandedly, consistently, and correctly apply the CEA risks harming competition and destabilizing derivatives markets.”

Source: PACER

The lawsuit came just one day after CME CEO Terrence Duffy said that the company would be taking legal action against the CFTC. In a Monday CNBC interview, Selig said that perpetual futures contracts “trade very similarly” to others, describing the CFTC’s position as “good for investors” and claiming that the Commodity Exchange Act “does not define the term ‘futures contract.’”

A CFTC spokesperson told Cointelegraph that CME had engaged in “lawfare” against the agency and the administration’s crypto policies, calling the complaint “frivolous.”

Related: ICE, CME press US regulators to ‘rein in’ Hyperliquid energy trading: Report

Kraken also announced the launch of perpetual futures trading for US users through CFTC-regulated platform Bitnomial.

CME CEO Terry Duffy. Source: CNBC Fast Money

Selig acts alone on prediction markets, perpetual futures, CFTC agenda

Confirmed by the US Senate in December 2025, Selig remains the chair and sole commissioner at the CFTC in a leadership panel intended to consist of a bipartisan group of five people. As of Thursday, US President Donald Trump had not announced any nominations to fill the seats, despite urging from many members of Congress to do so.

Magazine: OpenAI files for IPO, SEC scraps 611 rule and Hungary overhauls crypto: Hodlers Digest June 7-13

Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.

Key Highlights

• QUBT stock advanced following Planck Dynamics’ order of five NeuraWave platforms for 2026 delivery.

• The NeuraWave agreement provides QCi with tangible commercial momentum in AI computing markets.

• The partnership with Planck Dynamics opens defense sector opportunities for QCi’s photonic technology.

• A possible $10M expansion hinges on achieving specific milestones and customer requirements.

• NeuraWave leverages photonic reservoir computing for edge AI applications requiring minimal latency.

Shares of Quantum Computing Inc. (QUBT) advanced following news that Planck Dynamics had placed an order for the company’s NeuraWave technology. QUBT stock traded at $10.34, representing a 5.78% gain, as investors responded to the commercial validation. The shares briefly touched $10.50 during intraday trading before stabilizing near session highs.

Quantum Computing, Inc., QUBT

NeuraWave Contract Lifts QUBT Stock

Quantum Computing announced that Planck Dynamics has committed to an initial purchase of five NeuraWave computing systems. Delivery is scheduled for 2026, with technical coordination work commencing immediately. This purchase order establishes QCi’s first commercial foothold in photonic reservoir computing applications.

The arrangement establishes a foundation for potential expansion of NeuraWave deployments moving forward. QCi indicated the overall program value could surpass $10 million based on achievement of specified performance benchmarks. Additional system orders remain contingent upon Planck Dynamics reaching development targets and satisfying contractual requirements.

Planck Dynamics functions as part of NUNC Capital BV’s investment portfolio based in the Netherlands. The firm specializes in defense applications and develops real-time analytical systems for operational environments. This collaboration positions QCi’s photonic technology within a rigorous, performance-driven sector.

Photonic Computing Partnership Focuses on Edge Applications

QCi engineered NeuraWave specifically for temporal artificial intelligence and time-series data analysis tasks. The platform employs photonic reservoir computing architecture to deliver rapid, efficient processing of sophisticated datasets. Consequently, it addresses scenarios where centralized computing infrastructure introduces unacceptable latency.

The collaborative program will validate electro-optic computing capabilities for advanced AI processing needs. It seeks to enable both commercial and governmental applications across diverse operational contexts. The initiative emphasizes rapid response times, minimal energy consumption, and instantaneous analytical output.

This application domain is significant because edge computing architectures process information at or near data generation points. Such systems frequently support sensor arrays, mobile platforms, and geographically distributed infrastructure. Thus, QCi has tailored NeuraWave for scenarios where processing speed and reduced power requirements are mission-critical.

Commercial Validation Strengthens QCi Strategy

Quantum Computing has centered its business approach on quantum optics and integrated photonic technologies. The firm aims to transition advanced computing capabilities from laboratory environments into practical commercial deployments. This partnership delivers tangible evidence of customer demand supporting that strategic direction.

Both organizations will develop a detailed Statement of Work governing the partnership activities. This document will define technical milestones, system integration objectives, and implementation timelines. It will serve as the roadmap for continued collaboration between QCi and Planck Dynamics throughout the project lifecycle.

While the agreement doesn’t ensure the complete $10 million program materialization, it provides QUBT with substantive positive news following a turbulent trading period. The contract also validates growing market recognition of photonic computing solutions for sophisticated AI applications.